Team Pink attended Retail Destination Live last week and thoroughly enjoyed the event – from insightful discussions to eye-opening statistics. It was fascinating to hear from industry leaders about the challenges and opportunities shaping the future of retail destinations.
The retail landscape continues to evolve rapidly, shaped by economic pressures, technological advancements, and shifting consumer behaviours. From the rise of immersive leisure to advancements in AI-driven data analytics, here are the key insights from the conference.
Shopping Centres Revisited: A Changing Landscape
Online shopping continues to reshape the retail sector, with sales predicted to reach 35% of total retail by 2040. Despite this, shopping centres are still attracting significant investment, with £1.5 billion invested in the second half of 2024 and £2.5 billion projected for 2025 – the highest level since 2017.
However, shopping centres are not without their challenges. A combination of online retail growth, the lingering effects of COVID-19, geopolitical tensions, and the cost of living crisis has increased pressure on physical retail. With vacancy rates sitting at 17.7% for shopping centres, compared to 14% for high streets and just 6.8% for retail parks, the need for reinvention is evident. Steve Norris from Lambert Smith Hampton described the mantra “Replace > Reinvent > Revitalise” and how it is guiding efforts to reshape retail spaces, as exemplified by the redevelopment of Castlegate shopping centre in Stockton-on-Tees.
ESG and the Future of Real Estate
Environmental, Social, and Governance (ESG) factors are increasingly critical for retail destinations. Climate change and inadequate climate adaptation pose serious threats to real estate investment. With sustainability now a key focus, the industry must prioritise eco-friendly practices and resilient infrastructure to mitigate future risks.
Economic Overview: Balancing Costs and Growth
Despite economic headwinds, the UK GDP is forecast to grow by 1.5% in 2025. Rising minimum wages will impact operational costs, yet they may also stimulate consumer spending. Occupier costs – driven by wages, energy prices, and overheads – continue to challenge retail operators, but strategic adaptations could help balance these financial pressures.
Immersive Leisure: A New Era of Retail Experience
Tom Whittington, Director of Commercial Research at Savills discussed one of the most exciting trends reshaping shopping centres -the rise of immersive leisure experiences. He talked about the rise of competitive socialising – such as urban golf and bowling, and how “eatertainment” is thriving. Over the past five years:
- Bowling has grown by 10%
- Urban golf has surged by 96%
- Combo-operators (venues blending multiple activities) have skyrocketed by 455%
Cities like Manchester have seen a 74% increase in food, beverage, and leisure units from 2014 to 2024, with three-quarters of that growth coming from repurposing existing spaces rather than new developments.
Shopping centres are embracing this cultural shift, integrating experiential offerings to attract visitors beyond traditional retail. Let’s be honest – who doesn’t love an excuse to eat, drink, and throw an axe in the same venue?
Managing Emergencies in Retail Environments
Darren Pearce, Centre Director at Meadowhall discussed how security challenges are escalating, with violence and abuse up 50% and theft increasing by 25%. Economic pressures, including the cost-of-living crisis, have contributed to a staggering 50,000 security incidents daily. Retailers are deploying advanced solutions, such as live-streaming bodycams, which have been shown to de-escalate situations and improve incident response.
Essentially, the message is clear: “If you’re up to no good, be warned – Big Brother is watching, and he’s live-streaming.”
The Evolution and Future of Retail Destinations
A panel discussion talked about how retail destinations are redefining their unique selling propositions (USPs). Alasdair McClimont, Customer Manager at The Crown Estate used examples of how they differentiate their locations – Regent Street emphasises global flagship stores, while Rushden Lakes integrates retail with wildlife conservation.
Key trends shaping the future of retail destinations were discussed included:
- Extended leisure hours: Shopping centres now cater to evening visitors, shifting from traditional retail schedules to accommodate entertainment-focused footfall. This brings with it it’s own issues such as anti-social behaviour and increased security costs.
- Data-driven decision-making: AI-powered dashboards enable faster analysis of consumer behaviour, offering insights into dwell times, heat mapping, and optimal advertising placement.
- Consumer profiling advancements: Moving surveys online has not only allowed us to profile a wider/larger audience than in person surveys, it has provided deeper insights into spending habits, improving retail strategies.
- Collaboration and data-sharing: Brands and landlords are working more closely than ever, using shared insights to enhance customer experiences.
Creating Safe Spaces for Women & Girls
One of the standout sessions at Retail Destination Live highlighted an often-overlooked issue – how the built environment impacts women’s safety and their willingness to engage with public and commercial spaces.
Women are frequently left out of city planning, yet their experiences should be central to discussions about urban design and security. Gender-based violence is a societal issue that needs to be tackled at its root – through policy changes and thoughtful environmental design.
Despite official crime statistics often appearing low, underreporting is a significant issue. In one local project, 80% of 500 women surveyed said they didn’t feel safe in their local park. When women don’t feel safe, they change their behaviour, avoiding certain areas or even entire shopping destinations – something that has a direct commercial impact.
Key considerations for improving safety include:
- Lighting: Dark, isolated areas create a strong perception of danger. Thoughtful lighting design is key.
- Security balance: Women are often less likely to report incidents to male security staff, so having gender-balanced teams can make a difference.
- Incorporating lived experiences: Engaging with women in the early stages of planning ensures that real concerns are addressed rather than assumptions being made.
- Understanding a woman’s journey through a space: Safety isn’t just about one location but how a woman moves through an area.
- There’s no universal checklist for incorporating these principles, as every project is unique. However, real change requires commitment, and ensuring that women feel safe isn’t just a ‘nice-to-have’ – it’s essential for truly inclusive and successful retail destinations.
If this is a topic that is of interest to you can read more here where our Account Manager Katie Chapman reported on the Revo webinar held last year.
Keynote: Scam-Proofing Your Life
The conference concluded with an eye-opening keynote on scams and fraud prevention from Alex Conran, co-host of the BBC Three show The Real Hustle. Attendees were warned of red flags to help identify a scam including misdirection, time pressure, and social compliance.
A striking example of social compliance was demonstrated when the speaker played a clip from The Real Hustle where he put on a hi-vis vest, stood in a car park, and told drivers he needed to park their cars – many handed over their keys without question. This highlighted the risks of assuming authority without verification. Another example illustrated the “herd principle,” where individuals followed a few actors towards the wrong exit during a fire alarm, despite clear instructions. Key takeaways included:
- Call 159 if you suspect you’ve been hacked – this connects directly to your bank’s fraud department.
- No one is too smart to fall for a scam.
- Smart speakers and privacy: Many devices collect excessive data; if you only use a smart speaker for music, consider a traditional speaker instead. Otherwise, you might as well invite your Alexa to Christmas dinner – she already knows all your secrets.
Final Thoughts
Retail Destination Live 2025 underscored the ongoing transformation of retail spaces. As online sales grow, shopping centres must continue adapting by embracing immersive experiences, leveraging data-driven strategies, and addressing evolving security challenges. With investment in retail destinations on the rise, the future of physical retail lies in innovation, collaboration, and a deep understanding of consumer behaviour.
The bottom line? Shopping centres aren’t dead, they’re just getting a glow-up.
Photos courtesy of Retail Destination Live.